aviva industries ltd share price Management discussions

INDUSTRY STRUCTURE AND DEVELOPMENTS

The Company has its business of trading and Manufacturing of Glass and Glass Mosaic Products and Construction Chemicals from the trading of textiles.

The Glass Mosaic industry has been rapidly growing with the increase in the Infrastructure developments in the Country. The Governments focus to improve infrastructure and to develop the smart cities may lead to the decent rise in the Business of the Industry.

The retail boom in the Indian economy has also influenced the demand for higher end products. Overall the bullish growth estimates in the Indian economy has significantly influenced the growth of the Indian Glass mosaic industry. The industry also enjoys the unique distinction of being highly indigenous with an abundance of raw materials, technical skills, infrastructure facilities despite being fairly capital intensive.

OPPORTUNITIES

With the change in the segment of Companys Activities, following are the Opportunities for the Company.

Growing Industry New Acquisitions

Global markets Income level is at a constant increase

THREATS

Economic uncertainty: Based on the current and future market environment, the demand can be volatile. These actions led to abrupt disruptions across transportation regime and supply chains of global industry markets, including Manufacturing of Glass and Glass Mosaic Products and Construction Chemicals.

Competitive activity: Competition in the Glass Mosaic Market is intense and competitive activity is likely to remain high in the foreseeable future.

SEGMENT-WISE OR PRODUCT WISE PERFORMANCE

During the F.Y 2022-23, the Company has carried out minimal activities during the year, so evaluation of performance does not arise. The segment wise performance, if any of the Company will be evaluated once the Company grow its business activities ahead.

OUTLOOK

Looking forward to the change and beginning of new activities to the other segment, management is very much positive about the future Business of the Company. The concerned Industry is the rising Industry in the Domestic as well as Global market. The Board strives to sustain in the market in the initial period of its operations.

RISKS & CONCERNS

Since the Company is not much operational the risk factors had not been much analyzed. Looking to the Industry the following risk factors may affect the Company. ? Regulations affecting the Indian capital market. ? Competition activities. ? Overall Economic scenario and capital market trends.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company maintains an adequate and effective Internal Control System, equivalent with its size and complexity. It believes that these systems provide, among other things, a reasonable assurance that transactions are executed with management authorization. It also ensures that they are recorded in all material respects to permit preparation of financial statements in conformity with established accounting principles, along with the assets of the Company being adequately safeguarded against significant misuse or loss. This is supplemented through an extensive internal audit programme and periodic review by the management and the Audit Committee.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

During the Financial Year 2022-23, the Company was less operative. Further, the financial performance of the Company for the year 2022-23 is already given in the Boards Report.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS

The Company being less operational in the financial year 2022-2023, there were no developments in human resources and in Industrial Relations. In the Current financial year 2023-24, the Company is planning to grow its business and accordingly company will be simultaneously developing positive relations in Human Resources and Industrial Relations.

CAUTIONARY STATEMENT

This report contains statements that may be "forward looking" including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Companys future business developments and economic performance. While these forward looking statements indicate our assessment and future expectations concerning the development of our business, a number of risks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macroeconomic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. Company undertakes no obligation to publicly revise any forward looking statements to reflect future/likely events or circumstances.

FORM NO. AOC -2

(Pursuant to clause (h) of sub-section (3) of section 134 of the Act and Rule 8(2) of the Companies (Accounts) Rules, 2014)

Form for Disclosure of particulars of contracts/arrangements entered into by the Company with related parties referred to in sub section (1) of Section 188 of the Companies Act, 2013 including certain Arms Length transaction for the year ended 31st March, 2023.

1. Details of contracts or arrangements or transactions not at Arms length basis: NA

2. Details of contracts or arrangements or transactions at Arms length basis:

Sr. No Name(s) of the related party	Nature of relationship	Nature of contracts/ arrangements /transaction	Amount (Rs.)(In Lakhs)
1. Dubond Products India Pvt Ltd	Related Parties where KMP/RKMP exercise significant influence	Sale of Goods	68.50
2. Bharvin S Patel	Key Managerial Personnel (KMP)	Remuneration	3.00
3. Dubond Products India Pvt Ltd	Related Parties where KMP/RKMP exercise significant influence	Amount received on Loan	0.15
4. Bharvin S Patel	Key Managerial Personnel (KMP)	Loan Repaid	3.50
5. Dubond Products India Pvt Ltd	Related Parties where KMP/RKMP exercise significant influence	Trade Receivable	7.62

		For, Aviva Industries Limited
		Sd/-
		Bharvin Patel
Date:	September 8, 2023	Chairman and Managing Director
Place: Ahmedabad		DIN: 01962391

CERTIFICATE OF COMPLIANCE WITH THE CODE OF CONDUCT POLICY

As provided under Regulation 26 (3) of SEBI (LODR) Regulations, 2015 with the Stock Exchanges, the Board Members and the Senior Management Personnel have confirmed compliance with the Code of Conduct for the year ended March 31, 2023.

		For, Aviva Industries Limited
		Sd/-
		Bharvin Patel
Date:	May 30, 2023	Chairman and Managing Director
Place: Ahmedabad		DIN: 01962391

CEO / CFO CERTIFICATION

UNDER REGULATION 17(8) OF SEBI (LODR) REGULATIONS, 2015

To,

The Board of Directors,

Aviva Industries Limited

(1) We have reviewed standalone and consolidated financial statements and the cash flow statement of Aviva Industries Limited for the year ended March 31, 2023 and hereby certify that to the best of our knowledge and belief :

i. these statements do not contain any materially untrue statement or omit any material fact or contain statements that might be misleading;

ii. these statements together present a true and fair view of the Companys affairs and are in compliance with existing accounting standards, applicable laws and regulations.

(2) During the year, there are, to the best of our knowledge and belief, no transactions entered into by the Company which are fraudulent, illegal or violative of the Companys Code of Conduct.

(3) We accept responsibility for establishing and maintaining internal controls for financial reporting and we have evaluated the effectiveness of Companys internalcontrol systems pertaining to financial reporting. We have not come across any reportable deficiencies in the design or operation of such internal controls.

(4) We have indicated to the Auditors and the Audit Committee :

i. that there are no significant changes in internal control over financialreporting during the year;

ii. that there are no significant changes in accounting policies during the year and

iii. that there are no instances of significant fraud of which we have become aware.

		For, Aviva Industries Limited
		Sd/-
		Bharvin Patel
		Chairman and Managing Director
		DIN: 01962391
		Sd/-
Date:	May 30, 2023	Shetna Patel
Place: Ahmedabad		Chief Financial Officer